- AMP has launched a new adviser training and development program, Adviser Pathways, replacing its Horizons program. In a statement, AMP said the new Adviser Pathways program will take two to three years to complete, and will be available to “a wide variety of candidates”, so long as they have a FASEA-approved degree. The program will offer training across multiple means of advice delivery, AMP said, including phone-based and technology enabled, as well as face-to-face.
- Adviser numbers – Jason Andriesson of CoreData shared a very interesting article recently. Over the past three months 957 advisers left the industry with only 463 added. According to the FPA’s member research into perceptions of the FASEA proposals, which was independently analysed by CoreData, around one in three advisers (34 per cent) plan to retire or quit as a financial planner and of even greater concern, around seven in ten veteran advisers (68 per cent) with more than 20 years of experience plan to leave the industry.
- FASEA released its draft guidance for the impending financial adviser examination, outlining five proposed competency areas. In a statement on its website, the government body said that all advisers authorised prior to 31 December 2018 will be required to pass an exam testing their competency before 1 January 2021, with all new entrants and those returning to the industry after 1 January 2019 being required to complete the exam upon completion of their studies.
- With the recent publicity around FASEA, advisers have responded with a significant increase in enrolments for Advanced Diploma, Masters and Bachelor courses according to Mentor.
- BT Financial Group recently unveiled changes to it’s Panorama platform, introducing heavily reduced administration fees and an ‘open’ adviser services hub aimed at self-licenced advisers and dealer groups. It will be interesting how other platforms react to BTs reduction in fees.
- MLC’s superannuation trustee, NULIS, has announced that it will stop deducting plan service fees from its MLC Masterkey Super members accounts and that all members will be fully refunded for plan service fees paid while in product. MLC Super’s Matt Lawrence said the fee was being refunded because MLC did not clearly communicate to its members that the fee could be turned off if they no longer wanted access to general advice. Fee for no service again seems to be a key topic within this round of the royal commission.
Recent Changes to Senior Leadership:
- Matt Brown, previously Senior Executive within ANZ Wealth has joined Australian Unity as Executive General Manager – Advice.
- Australian Unity have also hired Michael Csavas to run their IFA channel.
- Matt Fogarty, formally of NAB, has joined Fitzpatricks as the new CEO.
- Former Perpetual Managing Director Geoff Lloyd has been announced as the new Chief Executive of MLC.
- Former ANZ Executive Luke Symons has joined AMP as Director, Channel Performance and Growth.
- Nathan Jacobson has been appointed the new Managing Director at Paragem.
A Recruiters market insight:
- The financial adviser recruitment market has been fairly quiet compared to its usual standards for this time of year. Two main factors that have prompted this are the royal commission and the impending clarity around FASEA. The larger organisations still have a very high focus on compliance and advice remediation roles.
- We recently tried to help an outstanding young adviser with 2 years industry experience, a business degree and ADFP. Because they completed their degree through UTS (not on the approved FASEA University list) our client suggested they were unable to move to interview stage. It is also having an impact on advisers that may have studied overseas. We are looking forward to the final FASEA results so businesses and candidates know how to move forward.
- FASEA is also having a knock-on effect for management roles, with some businesses now asking for a degree or CFP as a minimum requirement for adviser management positions.
- Outsourced Paraplanning continues to be a popular option for our clients from Banks through to Boutiques. Clients use outsourcing providers to help them through particularly busy ‘peak’ periods to supplement inhouse support while others run a 100% outsourced model. This could be in part due to the increase in paraplanning salaries and shortage of talent on the market, which can make outsourcing cost effective. We have received very good feedback on a number of operations including CPC Group.If you are in need of their support, please contact Rozetta Keatley at CPC – www.cpcgroup.com.au
Remuneration: whats happening with salaries?
- State General Manager – Industry Fund/Banks/Large Licensee (dependent on size of team) – salary range 250k – 350k base + super + bonus
- State General / Regional Manager – Small/Mid-size Licensee – salary range 220k – 280k + super + bonus
- Regional Manager – Industry Fund/Banks – 5+yrs experience, salary range $170k – $230k base + super + bonus
- Regional Manager – Industry Fund/Banks – 3-5yrs experience, salary range $140k – $190k base + super + bonus
- Regional Manager – Industry Fund/Banks – 1-3yrs experience, salary range $120k – $150k base + super + bonus
- Financial Planning/Practice Manager – 5+yrs experience, salary range $150k – $220k base + super + bonus
- Financial Planning/Practice Manager – 1-5yrs experience, salary range $120k – $180k base + super + bonus
- Practice Development Manager – 5+yrs experience, salary range $180k – $210k base + super + bonus
- Practice Development Manager – 3-5yrs experience, salary range $140k – $180k base + super + bonus
- Practice Development Manager – 1-3yrs experience, salary range $110k – $140k base + super + bonus
- Senior Financial Planner with CFP – 5-10+yrs experience, salary range $120k -$200k base + super + bonus
- Financial Planner – 4-5yrs experience, salary range $115k – $150k base + super + bonus
- Financial Planner – 2-4yrs experience, salary range $70k – $120k base + super + bonus
- Junior Financial Planner – 1–2yrs experience, salary range $60k – $85k base + super + bonus
- Senior Paraplanner – 3–5+yrs experience, salary range $80k – $110k base + super
- Paraplanner – 1-3yrs experience, salary range $60k – $90k base + super
- Senior Compliance Manager – 5+yrs experience, salary range $160k – $200k base + super
- Compliance Manager/Specialist – 3-5yrs experience, salary range $140k – $160k base + super
- Compliance Manager/Specialist – 1-3yrs experience, salary range $100k – 140k + super
- Review/Compliance/Case Manager – 5+yrs experience, salary range $160k – $180k base + super + bonus
- Review/Compliance/Case Manager – 3-5yrs experience, salary range $130k – $150k base + super + bonus
- Review/Compliance/Case Manager – 2-3yrs experience, salary range $90k – $120k base + super + bonus
- Review/Compliance/Case Manager graduates, salary range $60k – $80k base + super + bonus
- Client Service Manager – 3–5+yrs experience, salary range $65k – $85k base + super
- Client Service Manager – 1–2yrs experience, salary range $55k – $65k base + super
Are you planning to recruit?
Getting on the front-foot early and liaising with a recruitment expert has never been more important due to the competitiveness of the current candidate short market. If you are looking, or planning to recruit in the near future, or are just looking for some industry advice please feel free to call me directly anytime – Chris Gordon on (02) 9240 6366 or 0451 129 269